Onion Prices Stay High As Imports Likely To Take More Time

29-Aug-2013

Even as persistently high onion prices prompted the Central government to import it from other nations, there is no immediate relief for the consumer.



Onion prices continued to stay higher even after a fortnight of the announcement of imports of onion from Pakistan, Iran and China.



At Lasalgaon market, onion prices hovered around Rs 3,400 a quintal, which is higher by around Rs 200 a quintal on August 20.



Central government decided on August 14 to import onions, which hovered around Rs 4,700 a quintal. But there was not much relief as prices continue to remain high at other wholesale markets.



“The government has announced import of onions. But it will take at least a week more to reflect its impact on the market. Prices still continue to stay high at major onion markets,” said a trader from Nashik.



In other markets, including Ahmedabad, Mumbai and Delhi, prices hovered between Rs 3800 Rs 4300 a quintal. Arrivals remained thin between 700 quintal and 5,000 quintal at these markets.



The state agency, National Agricultural Cooperative Marketing Federation of India (Nafed) has issued tenders asking interested onion traders to submit their proposals by August 27. The imports will start only a week after the finalization of the parties. Hence, traders see no likelihood of prices to cool off before September 10.



“In retail prices will continue to remain high till the first week of September. We reflect prices at Lasalgaon market. But there are no indications of a fall in prices there. So at other markets also prices will remain high,” an onion wholesaler at Ahmedabad’s Chimanbhai Patel APMC informed.



In retail, prices are once again quoting around Rs 60-70 per kg in Ahmedabad market, while in Delhi, the prices have touched Rs 80 a kg once again.



As per the NHRDF sources, domestic arrivals have not yet started in full swing. It will start after September 15. Till then the government has decided to source more than 3,00,000 tonnes of onions from countries like Pakistan, China, Iran and Egypt.

Source:- business-standard.com